Nifty 50 and Sensex Set to Open Lower Amid Global Market Sell-Off on September 4

The Indian stock market indices, Sensex and Nifty 50, are expected to open lower on Wednesday due to a sell-off in Asian and U.S. markets.

Gift Nifty trends also suggest a negative start for the Indian market, with Gift Nifty trading around 25,170, which is nearly 175 points lower than the Nifty futures’ previous close.

On Tuesday, the Indian markets ended flat with little change. The Sensex dipped slightly by 4.40 points to close at 82,555.44, and the Nifty closed at 25,279.85, showing little movement.

Nifty 50 formed a small negative candle on the daily chart with a minor lower shadow, indicating a sideways trend at the new highs over the past three sessions. According to Nagaraj Shetti, Senior Technical Research Analyst at HDFC Securities, the Nifty’s near-term uptrend is still intact, and this sideways movement could eventually lead to an upside breakout above the 25,400 level. If this happens, Nifty could reach its next target of 25,800.

Here’s what to expect from Nifty 50 and Bank Nifty today:

Nifty OI Data:

Mandar Bhojane, Technical Analyst at Choice Broking, noted that the highest Open Interest (OI) on the call side is at the 25,500 and 25,600 strike prices, while the highest OI on the put side is at the 25,000 strike price.

Nifty 50 Prediction:

On September 3, Nifty 50 showed choppy movement and closed flat. According to Rupak De, Senior Technical Analyst at LKP Securities, Nifty remained rangebound and closed positively for the 14th straight day. It faced resistance at 25,300 due to strong call option activity at that level. A decisive move above 25,300 could trigger a rally toward 25,500. On the downside, support is expected around 25,200 and 25,000.

VLA Ambala, Co-Founder of Stock Market Today, added that Nifty could find support around 25,220 and 25,170, while resistance may be between 25,359 and 25,400.

Aditya Agarwal, Head of Derivatives and Technical at Sanctum Wealth, said that Nifty 50 is finding strong resistance around 25,300 – 25,350 levels, with some profit booking seen from higher levels. In the short term, the index looks rangebound and may consolidate between 25,150 – 25,400. Dips towards 25,200 – 25,120 could be an opportunity to initiate new long positions for targets of 25,340 – 25,380 levels.

Bank Nifty Prediction:

On Tuesday, Bank Nifty outperformed the main index, rising 249.55 points (0.49%) to close at 51,689.10, forming a bullish pattern on the daily charts. Aditya Agarwal noted that Bank Nifty saw fresh long positions and closed above its resistance zone of 51,500. In the short term, Bank Nifty looks positive and could move toward 52,000 – 52,300 levels. On the downside, support is expected around 51,400 – 51,140, and any dip to these levels could be a chance to initiate new long positions.